Remittances and the Maintenance of Dual Social Worlds: The Transnational Working Lives of Migrants in Greater London

Most research on remittances focuses on economic motivations, with little emphasis on the social contexts in which the remittance economy operates. Through an analysis of in‐depth interviews with migrant workers in a London hotel and hospital, we examine how migrants’ familial and social relationships in both sending and receiving countries inform the decision to send remittances. We suggest that remittances are a mechanism through which migrants are able to fulfil multiple obligations to families and places of origin, while also enhancing their own economic status and future. First, satisfying the cultural expectation of sending remittances helps migrants maintain their social worlds at “home”. Second, we observed that both positive and negative changes in power and resources influence the decision to send remittances by motivating migrants to invest in their social position in either their home or receiving country. In sum, we argue that the migrants’ social experience in the United Kingdom might be just as predictive of remittance behaviour as their economic and social status in the country of origin. We, therefore, call for a need to move beyond the often one‐sided concern with development by concentrating on the overlapping social worlds of migrants.     

The impact of migrants' remittances on the Egyptian economy

"The main objective of this paper is to evaluate the impact of the large remittances made by Egyptian migrants to their home country on the Egyptian economy. In order to study this impact, we use the implications of the standard Keynesian model. We estimated the structural equations of the model using annual data for the Egyptian economy over the period from 1970 to 1984.... The results suggest that remittances have had a strong positive impact on GNP in Egypt." The authors note that remittances especially affect private consumption spending. Policy implications concerning labor migration are discussed. (SUMMARY IN FRE AND SPA)     

“Here One Moment… and Gone the Next?” Remittance as a Social Visibility Tool

Human labor is as much an export as any good. Remittances are a critical source of income for left‐behind families and communities. Transnational labor migrants often describe themselves as ‘invisible’: neither present in the lives of left‐behind families nor members of the receiving community. Building on social remittances literature, we argue that remittances serve as a remedy for this ‘invisibility.’ Through analysis of interviews with 26 temporary labor migrants from 11 countries resident in Israel, we find remittances can render migrants visible to transnational families and provide identity benefits to labor migrants. If visibility benefits decline because of familial role changes, reduced value as a remitter, cost exceeding benefits or because contracting partners change, remittance practices will change. Contrary to previous literature, our findings show that remittances decisions are dynamic, revealing why remittances practices change and even cease. Findings have implications for understanding the multibillion‐dollar remittances industry and immigrant incorporation.     

Factors determining migrant remittances: the case of Greece

"In this study we review the literature regarding the theory and the empirical evidence regarding migrants' remittance behavior, and we examine the flow and determinants of remittances from Greek migrants for the period 1961 to 1991. The main body of data is for remittances to Greece from Germany, but for some years data are available for remittances from Belgium and Sweden as well. The objective of this study is to test the significance of certain factors in terms of their effects on remittances to Greece. These factors are the migrant's income, the migrant's family income, the rate of unemployment, the rate of interest, the exchange rate, and the rate of inflation. The study attempts to see if these factors have had any effect on the volume of remittances. It also attempts to see if there are any structural changes during this period that affect migrants' propensity to remit."     

Immigrant Remittances,Stability of Employment and Relative Deprivation

This paper examines the factors affecting immigrant remittances on the basis of the experience of immigrants to Greece. In addition to factors commonly used in similar analyses, we examine two new ones: stability of employment and relative deprivation. Our results show that the stability of employment has no significant effect on the decision to remit, while relative deprivation does. Immigrants from less relatively deprived families are more likely to send money back home. As for their effects on the size of remittances, our results show that the relative deprivation variable is insignificant, while those in steady jobs remit less money than those employed in unsteady jobs. The latter finding suggests that fluctuations in migrant employment and migrant income are borne by migrants themselves, whose goal appears to be to secure a steady flow of remittances to country of origin. This type of remittance behaviour has implications for the interpretation of volatility in remittance flows to migrant–sending countries. Specifically, variation in flows may be attributable to changes in the numbers of migrants and not only to changes in the economic and employment conditions in destination countries.     

Migration Plans and Received Remittances: Evidence from Fiji and Tonga1

This paper investigates the relationship between remittances and migration intentions in the source country using data from households in the Pacific island countries of Tonga and Fiji. Unlike previous research it accounts for potential endogeneity in the relationship between remittances and intentions and also includes households that receive remittances but do not have current migrants. We find a positive impact of remittances on intentions. The impact of remittances on intentions is stronger in a country with a longer history of migration and stronger in households with current migrants than those without migrants. These results provide new evidence on the role of remittances in the development of migration chains.     

Between two families: the social meaning of remittances for Vietnamese marriage migrants in Singapore

Scholars who have applied transnational perspectives to studies of migration and remittances have called for a move beyond the developmentalist approach to accommodate an expanded understanding of the social meanings of remittances. Researchers working in Asia have begun to view the remittances of money, gifts and services that labour migrants send to their families as transnational ‘acts of recognition’, as an enactment of gendered roles and identities, and as a component of the social practices that create the ties that bind migrants to their ‘home’ countries. In this article, we depart from the more common focus on remittance behaviour among labour migrants and turn instead to examine how, as marriage migrants, Vietnamese women generate and confer meaning on the remittances they send. First, from the women's viewpoint, we discuss the extent to which expectations vested in being able to generate remittances for the natal family by marrying a Singaporean man not only translate into motivation for marriage migration but also shape the parameters of the marriage. Second, we show how sending remittances are significant to the women as ‘acts of recognition’ in the construction of gendered identities as filial daughters, and, through the ‘connecting’ and ‘disconnecting’ power of remittances, in the reimagining of the transnational family. Third, we discuss the strategies that women devise in negotiating between the conflicting demands and expectations of their natal and marital families and in securing their ‘place’ between two families. We base our findings on an analysis of interviews and ethnographic work with Vietnamese women and their Singaporean husbands through commercial matchmaking agencies.     

Inducing Development: Social Remittances and the Expansion of Oil Palm

This paper investigates the relationship between social remittances and land‐use change in the context of South–South migration. Focusing on the cyclical movement of Filipino oil palm workers between the Philippine province of Palawan and the Malaysian State of Sabah, we show how migrants transmit social remittances, such as ideas of prosperity associated with oil palm development and knowledge of production practices and land impacts of oil palm plantations. These social remittances affect farmers’ decisions to engage in oil palm development within the migrants’ home province, possibly transforming subsistence agricultural systems into large‐scale, monocrop plantations. We argue that such land development outcomes are an understudied aspect of how migration affects developing countries, especially in the context of South–South migration. Research findings also suggest how migrants’ social remittances are transmitted, diffused, and utilized at broader social and political units, beyond return migrants’ households and immediate communities in Palawan. Decision outcomes, however, are variable, with households and communities either engaging in or opposing oil palm development, depending on how social remittances are interpreted.     

The resilience of migrant money: how gender,generation and class shape family remittances in Peruvian migration

Scholars and policy makers have argued that because altruism drives remittance sending, migrant money is more resilient to uncertainty than other capital flows. In this article, I question this assumption through ethnographic examination of remittance sending by Peruvian migrant families. When in their lives do Peruvian migrants start to remit? Who are the recipients? What is the purpose of their remittances? How long do they last and why do they stop? I argue that, to answer these questions, we need to investigate how migrants make remittance commitments to different household members, how these attribute value to the remittances and how this value becomes the object of negotiation and contestation. The findings indicate that remittances reinforce existing relations of gender, generation and class in Peruvian society and suggest that while short‐lived remittances are based on contractual commitments and driven by altruism, long‐term remittances are based on emotional commitments and driven by both non‐utilitarian and utilitarian motives.     

Migrant remittance flow: challenges and motivations in Isiekenesi Southern Nigeria

The study examined challenges of sending remittances and factors that motivate migrants to send remittances to Isiekenesi. Survey research design was adopted for the study. Using multi-stage sampling method for the quantitative data of the study, 402 questionnaires were distributed to the study participants and 395 were retrieved; 17 interviews and three focus group discussions (qualitative data) were conducted. Insecurity, the high cost of the transfer of remittances, lack of social amenities and so on were noted as challenges that undermine the flow of remittances to Isiekenesi. Factors that motivate migrants to send remittances to Isiekenesi are the desire to improve the family living standard, improved security in the home country, the need for recognition and the economic situation of the home country among others. Finally, the study has clearly shown that remittances in Isiekenesi are typically altruistic as migrants see it as a means of providing economic support to individual recipients at home to improve their living standard.     

Beyond Family Remittances: Assessing the Prospects of Alternative Approaches to “Remittances for Development” in Africa

This article examines the remittance patterns of Cameroonians residing in Aarhus, Denmark and discusses the findings in relation to those from earlier studies on migrants’ remittances. Based on analyses of the inclination of these Cameroonians to support development projects in Cameroon, it is argued that a strengthened partnership between local non‐state actors in Cameroon and the Cameroonian diaspora will significantly improve the role remittances can play in the country’s development. The article also highlights the framework, benefits and challenges of such potential partnership and suggests ways in which remittances from the Cameroonian diaspora in particular and African migrants in general, could be effectively channelled beyond migrants’ families to further the continent’s development drive.     

Migrants' capacity as actors of development: do skills matter for economic and social remittances?

Highly skilled migrants are presumably in a better position than less skilled ones to contribute to development in their countries of origin, largely by way of economic and social remittances. In this article, we use unique data on first‐generation migrants in the Netherlands to test how economic and social remittances differ by skill level. We find that the highly skilled are more likely to remit, to remit larger amounts and to give advice on education, jobs and health matters. Thus, we identify the highly skilled as having a greater capacity to affect development than have migrants of other skill levels. However, nuances exist with respect to this overall result. We illustrate that the low and medium skilled also show some capacity to affect economic development and that a medium skill level is sufficient to be in a position to transfer significantly more knowledge and skills.     

How Do Workers’ Remittances Respond to Lending Rates?

The literature on migrants’ motivation to remit ranges from self‐interest to altruism where studies analyse the impact from home country interest rates or interest differentials between home and host countries. We reinterpret the interest rate elasticity of remittances as a form of debt‐repayment responsiveness rather than based on opportunistic motivation. Modelling altruistic transfer and debt‐repayment, we find that, for a panel of countries, the long‐run responsiveness of remittances to changes in real lending rates is negative. This suggests that an expansionary (contractionary) monetary policy is most likely to lead to an increase (reduction) in remittances in the long‐run. In contrast to this, the short‐run impact of interest rate changes on remittances is positive.     

Cherishing the Goose with the Golden Eggs: Trends in Migrant Remittances from Europe to Morocco 1970–20041

In contrast to earlier predictions, migrant remittances from Europe to Morocco have shown an increasing trend over the past decades. Remittances constitute a vital and relatively stable source of foreign capital. The so‐called “euro effect” and concomitant money laundering can only explain part of the recent, extreme surge in remittances. The structural solidity of remittances is explained by the unforeseen persistence of migration to northwestern Europe; new labor migration toward southern Europe; and the durability of transnational and transgenerational links between migrants and stay‐behinds. The stable economic‐political environment and new “enlightened” policies toward migrants explain why Morocco has been relatively successful in channeling remittances through official channels.     

Remittances and Other Financial Flows to Developing Countries

Official estimates of migrants’ remittances are around US$100 billion annually, with some 60 per cent going to developing countries. Any policy making use of migrants as a development resource must understand the size and allocation of remittances, and the roles played by migrants and their communities in the remittance process. This paper examines the flows of remittances in relation to other financial flows to developing countries. The examination is based on data available from official statistics. As discussed in the paper, remittances by unofficial channels are significant by all accounts so the remittance amounts reported here are quite conservative. The paper shows that annual remittances to developing countries have more than doubled between 1988 and 1999. Viewed over the last decade, remittances have been a much larger source of income for developing countries than official development assistance (ODA). The gap is increasing, since ODA has been falling while remittances have increased. Furthermore, remittances appear to be a much more stable source of income than private flows, both direct and portfolio, which tend to be more volatile and flow into a limited set of countries. Remittances to developing countries go first and foremost to lower middleincome and low–income countries. Lower middle–income countries receive the largest amounts, but remittances constitute a much higher share of total international flows to low–income countries. Of the ten countries receiving most remittances, two are low–income (India and Pakistan); six are lower middle–income (Philippines, Turkey, Egypt, Morocco, Thailand, and Jordan); and two are upper middle–income (Mexico and Brazil). Sub–Saharan Africa received some 8 per cent of remittances in 1980, but only some 4 per cent in 1999. South Asia’s share also declined from what was already a relatively high 34 to 24 per cent. Those who gained most were Eastern Europe and Central Asia, South and Central America, and the Caribbean, which increased their share of global remittances.     

Can Migration Foster Development in Mexico? The Case of Poverty and Inequality

The impact of migration on development can be analysed from a number of perspectives. This article focuses on poverty and inequality. It assesses the relative contribution of migrants to Mexico′s economy through remittances, compared to other Latin American countries; analyses the distributional impact of remittances (with an emphasis on the poor), and compares this impact to the counterfactual impact of migrants’ stay‐at‐home income. It explains the processes leading to scant economic success rates among poor international migrants. Finally, it describes the nature and impact of current Mexican migrant‐oriented policies, and recommends a shift in focus, to lessen emigration, increase the income of migrants, promote returns, and bolster the economic impact of returning migrants.     

International Migration and the Demographic Transition: A Two‐Way Interaction

The paper explores the relationship between the demographic transition and international migration, that is, between population dynamics and direct connectivity between peoples. The first part examines how ideas conveyed by migrants to non‐migrants of their community of origin are susceptible to impact on practices that lead to the reduction of birth rates in source countries of migration and concludes that international migration may be one of the mechanisms through which demographic transition is disseminated. The second part shows that declining birth rates in origin countries generate a new profile of the migrant and suggests that future migrants will typically leave no spouses or children in the home country and therefore their objective will no longer be to improve the family’s standing at home for the mere reason that there is no longer such a family, but to increase opportunities for themselves. Migration policies of origin countries on remittances as well as those of destination countries on family reunification will have to be reconsidered.     

Income Inequality in Host Countries and Remittances: A Discussion of the Determinants of Portuguese Emigrants' Remittances

The evolution of income inequality in host countries affects the migrants working there. As a significant number of these migrants do not earn high incomes, this evolution tends to significantly affect migrants' abilities to send money back to their home countries. We test this hypothesis considering the evolution of income inequality in 59 countries with Portuguese emigrants through observations from 1996 to 2014. Using the system generalized method of moments (GMM) estimator, we found that an increase in income inequality leads to fewer remittances per emigrant. We also controlled income inequality with several determinants of remittances, including the real GDP per capita, unemployment rate, education skills, and the self‐employment rates of the host countries.     

Why Migrant Smuggling Pays

Drawing on empirical research in Afghanistan and Pakistan, this article ‘follows the money’ for 50 migrants smuggled to the UK, to cast light on the financing of smuggling. The means used to raise the money to pay smugglers ranged from drawing on savings to selling property, land and jewellery. Payments were made to a third‐party, who did not release the payment to the smuggler until migrants had arrived in their destination ‐ effectively a ‘money‐back guarantee’ on smuggling. Smugglers disbursed about half of their fee to forgers, procurers of passports, airport officials and other intermediaries required to facilitate smuggling. Most migrants quickly found work in their destination and started remitting soon after their arrival. On average remittances were at a sufficient level to repay the initial outlay on smugglers’ fees after two years, and thereafter remittances on average more than doubled household incomes at home. In this case study, smuggling therefore paid for the range of intermediaries involved in facilitating it, for migrants themselves, and for migrants’ households at home.